We started to work with a client at a time of crisis: the height of the pandemic, marketing costs are rising with no results at all, and uncertainty reigns in the real estate market.
The restrictions imposed on travelling within Europe have blocked the interest of foreign buyers, with the product being designed primarily for them.
The task of marketing is to sell apartments. At the time the IDEAS agency entered the project, only 25% of the total number of apartments were sold during a year and a half of the previous contractor’s work.
Our task was ambitious — to sell at least 15% of apartments in six months.
The number of apartment views in six months:
Price per lead:
⟩ 900 €
Percentage of apartments sold in six months:
Cost per view of the apartment:
⟩ 14 000 € 😲
Before the start of the work, we encountered several challenges:
The client had a manual CRM, a low-converting sales funnel, and no end-to-end advertising analytics. We could not even determine which channels led to sales.
The apartment website was too similar to a hotel one, and 9 out of 10 visitors leave within 20 seconds without realizing that the site was about selling real estate.
Only contextual and offline media advertising was used as promotion channels, with a Facebook page as an SMM tool.
We compiled two different Jobs to be Done (JTBD) and a Customer journey map (CJM) to better understand customers’ initial motivation, identify touchpoints and pain points that a product can solve.
For example, this is what JTBD looked like for vacation property buyers:
We launched photo and video creatives for two audience segments in two languages — English and German. Quite quickly, it became clear that the German creative works worse: the requests are much more expensive, even though German is the main language in the targeted regions. Moreover, the number of requests for property search in Germany was significantly higher.
In general, investors were much more expensive and less active in the sales funnel. If they did show interest, they asked a lot of questions, studied the product thoroughly, and refused, comparing either with competitors or with other investment tools.
We halved the cost of leads and quadrupled their number, but the visits were still not converted into sales.
With end-to-end analytics and budget optimization on effective ads, we quickly balance between qualified leads and their numbers.
The analysis of the refused leads helped us shape a new target portrait. It already included interest in real estate, sports, business, investments, and the age of 40+ to filter out those who had not purchased their homes yet. However, none of this was enough.
One of the reasons investors turned off the audience was that they were too rational in their choice of product. They had the money to buy it, but the product was missing some parameters to competitors, and that did not allow them to make a choice in our favour. Therefore, we just had to appeal to the people who could afford it. To be closer to them and more understandable.
We made a list of areas in Switzerland with the cost per square meter of real estate was higher than our product. We had a list of indexes of such areas, which we used as geo for targeted ads.
Active lifestyle creatives were easy to maintain in the client’s product location. As a result, they attracted our target audience. We received few bids at a high price point, and most of them made it to the warm stage of the funnel. After a month and a half, which is the average transaction length, we sold 10% of the apartments.
increased the number of leads
reduce the cost of leads
decrease the cost of offline views
increase the number of apartment views
decrease the number of users leaving the site within a minute
revenue to marketing cost ratio
of the apartments
We continue to work with the client and will share updated results soon.
Head of performance
Analyst and CRM